Speed Launches USDT-L, Tether’s First Iteration on Top of Bitcoin’s Lightning Network

Speed, the company behind the Speed Wallet, has launched USDT-L, the first iteration of Tether, the largest stablecoin on the crypto market, on top of Bitcoin’s Lightning Network (LN). The wrapped token, which takes advantage of the “taproot assets” protocol recently rolled out by Lightning Labs, seeks to bring all the benefits of LN to stablecoin assets. In a blog post, Speed stated that it “aims to expand the utility and adoption of both technologies, providing users with a stable-value option for quick and low-cost transactions.” Speed also highlights the privacy benefits of using USDT-L over USDT in other L1 chains, including that transactions happen off-chain, the routing of the payments is obfuscated, and there is limited information disclosure required for each transaction.